Scrap Pricing Moving Higher than Expected

There has been a flurry of activity over the past 24 hours with our sources suggesting that the very early trades on ferrous scrap were done up $30 to $45 per gross ton. As we slide into late Tuesday our sources were advising that the numbers could be up as much as $50 per gross ton.

Earlier today we received a note from one of the larger scrap recycling companies. We were told, “While the market is in the early stages of negotiations, some business has been transacted in the +$30-50/gtd range.  The broad spectrum of prices reflect some “catch-up” trades as some dealers sold early in November, failing to achieve the full price appreciation.  Generally speaking, demand is firm and pricing pressure will likely stretch into January as mill order books continue to strengthen.”